February 2013 Blog Posts (715)

The EURUSD continued to maintain its bearish momentum the past few days after rejection from 1.3318 levels, pressure now will be on the key support 1.3017 ,EURUSD will have to hold below 1.3017 on a 4 hour closing basis to push the market for further downside loses if seen this scenario could push the market further lower towards the 1.2875 levels, where a breach will turn focus on the 1.2735 levels, at this point I'd expect downside to be contained above 1.2735 levels to bring another…

I see EUR ready for long from here with a tiny stop lose , as the double bottom have to set here , anyway , this correction wave have to take us at least to 1.3410 , take care there because the big guys will short from our target , wishing u all a happy trade , good…

For longs I would be starting to become wary below 1586-85, being 1581-1580 another important spot – the closer price gets there (without appropriate buying response), the closer the sellers are to push price lower. 1575. 1572, 1569 as another key point I´ll be watching.

I was discussing this topic with a fellow trader and wondered if I could get some feedback here. I trade a mathematical system and I have recently automated it so for me and my trading, emotion no longer has anything to do with it. On the other hand most people do not use automation yet which means they are forced to wrestle with the psychological side. So my question is this: Does having a mathematical edge that is automated really alleviate the psychological side of trading?

Currently we are at 1.0250 after a nice correction. We are looking now for the continuation to the support @ 1.0221 (chance of inverse head and shoulder there) with further targets at the second wave S4 @ 1.0145 area. The current average daily trading range (ATR) is 76 pips.…

USDJPY gapped higher on Sunday and then reversed sharply lower on Monday during the US hours when stock market fell. As such, wave (v) was a little short but still valid because pair reached new high at 94.53 and completed black wave 3. As such, we suspect that pair is now in a three wave retracement lower in wave 4 that may reach 90.00 level. One possibility is also a flat in wave four if rally from 90.92 will be in five waves.

Deutsche Bank - "Almost all currencies appeared to have peaked against the dollar, and the more recent rise in USD/JPY suggest the broad dollar is embarking on a multi-year uptrend. Superior US growth should support the rotation from bonds to equities that will help the dollar. Abenomics shows the scope central banks outside of the US have to weaken their currencies against the dollar. China rebalancing away from investment provides a downside risk to the China-linked currencies that have…

ANZ - "• A trifecta of factors suggests the bottom of the range is likely in for AUD/USD• These are: positive CAPEX data; RBA indifference around current AUD levels; large reserve managers holding AUD in their portfolios• We are long AUD/NZD to reflect this view"

AUDUSD: Despite its attempt on the upside, AUDUSD continues to look vulnerable to the downside medium term. Support lies at the 1.0182 level followed by the 1.0150 level and next the 1.0100 level. We expect this level to hold if tested thus turning the pair lower. Conversely, AUDUSD will have to take out the 1.0374 level to reassert its corrective recovery possibly towards the 1.0457 level. Further out, resistance comes in at the 1.0598 level. All in all, the pair continues to…

EUR/USD remains under pressure, but is steady in Thursday trading. The markets continue to be nervous about the political stalemate gripping Italy. With no clear winner in this week’s parliamentary elections, there are fears that a prolonged deadlock could lead to a new crisis in the Eurozone. There was some good news as investors showed a strong demand for 10-year Italian bonds. In the…

Royal Bank of Scotland - "EUR/USD: Tuesdays piece commented on the fact that this level at 1.3040 should be supportive and I’m further buoyed by yesterday’s price action that was a good solid positive day following the reversal pattern witnessed on Tuesday. I think this opens up a short term move back to the trend line break area around 1.3275 and the important Fibonacci retracement level above there at 1.3296. Note too that the fairly distinct head and shoulders pattern looks like it had…

AUDUSD hit new low few sessions back and reversed quite impulsively from 1.0181 low which suggests that pair has reached a temporary low. In fact, recent price action in 1.0220-1.0370 range could be labeled as a triangle in fourth wave so reversal that we are seeing is actually not a surprise because we know that move after the triangle was a final leg of a larger trend. In our case that was wave 5 that completed a five wave decline in wave 1). With that said, current rally is probably part…